Hüttenwerke-Krupp Mannesmann (HKM), the largest mill in the Duisburg steel complex that is partially owned by thyssenkrupp Steel, could be put up for sale, and the first signals have been heard from buyer candidates.
While thyssenkrupp Steel is HKM’s largest stakeholder with 50%, Salzgitter owns 30% and Vallourec 20%. The French pipemaking group’s possible withdrawal has been under discussion for months, after Vallourec closed its last German plant last year. Salzgitter stated in March its interest in taking over Vallourec’s stake.
In addition, tk Steel recently announced it plans a long-term steel capacity reduction at its own plants. Although HKM was not included in that announcement, it appears likely that a separation from HKM would support tk Steel’s restructuring calculations. It would also support the spin-off process of 50% in tk Steel to Czech group EP.
The three stakeholders are now in discussion about selling HKM, following an approach by another interested company. “We do confirm that we have been approached by a prospective buyer. The stakeholders are now in close coordination to test a sale,” tk Steel says in a statement sent to Kallanish upon request. It underlines that the dialogue will not anticipate a particular outcome, and that the companies will consider their responsibility for the workforce.
Christian Koehl Germany